23 November 2022, Mumbai:
Chief financial officer Arvind Agarwal has quit Nykaa. He is said to be leaving to pursue other opportunities in the digital economy and the start-up space.
Nykaa’s next big focus is to hit profitability. The Mumbai-based company’s shares have undergone a correction amid a broader rout in technology stocks, both globally and in India.
The omnichannel beauty retailer has gained on the back of the festive and wedding season, so has not seen any drop in demand. Nykaa Superstore is a third-party distribution platform and is a win-win for retailers and Nykaa.
This distribution channel is self-serving, has intelligence on what is more popular in the retailer’s area, and helps new brands launch on Nykaa’s platform. One lakh small retailers and mom-and-pop stores like pharmacies, specialised beauty stores, have signed up.
Nykaa is an on-trend brand and dominates beauty with 30 per cent plus of the online beauty market. But in fashion, it has just a two percent market share and thinks getting to five percent will be a big business.
Nykaa has launched private labels and closed multiple acquisitions post the IPO. Private labels will play a significant role for the company, which has eleven of these.